The following policies govern
the budgetary control process. An explanation is provided identifying
the roles of the University Budget Office (UBO) in carrying out the budgetary
control policies. The policies articulate ways in which budgetary control
impacts each of the three divisions of the University. Special budgetary
control situations, such as those related to sponsored programs, are covered.
The policies apply to all University funds, both State and Local.

2.2 Determination of Levels of Budgeting

The UBO has primary responsibility
for determining the level of budget detail at which operating budgets
and capital budgets will be established. The requirements placed on the
University by the State to control and specifically budget certain expenditure
categories are major factors in determining the categories for which budgets
are established.

Major responsibility for determining
levels of budgeting is delegated as follows:

The University Budget Office
has primary responsibility for establishing all initial budgets on an
annual basis unless specifically excepted in this statement. All initial budgets entered as transactions to the University Oracle
Applications must be approved by the UBO and must be consistent with the
annual operating or capital budgets approved by The Board of Visitors.

The Office of Sponsored Programs
has been delegated full authority to establish and approve initial project
period budgets related to sponsored program accounts subject to any restrictions
placed by the sponsor and consistent with the operating budget of the
University.

Authority to establish initial
budgets for Agency Code 209 (Medical Center) is delegated to the CEO,
Medical Center subject to guidelines established by the UBO.

2.4
Responsibility for Budget Revisions

The UBO has primary responsibility
to approve and transact all award installment revisions unless specifically
excepted in this statement. In Oracle Grants Management, the UBO delegates to award managers
the responsibility for modifying the funding of projects and delegates
to project managers the responsibility of modifying award and project
budgets. The budgets must be consistent with the annual operating or capital
budgets approved by The Board of Visitors and will be subject to oversight
by the UBO.

The Office of Sponsored Programs
has been delegated full authority to establish and approve project period
budget revisions related to sponsored program accounts subject to any
restrictions placed by the sponsor and consistent with the operating budget
of the University.

Authority to revise operating
budgets for Agency Code 209 (Medical Center) is delegated to the CEO,
Medical Center subject to guidelines established by the UBO.

2.5 Responsibility for Monitoring Actual Expenditures
and Revenues Relative to the Budget

It is the policy of the University
that persons responsible for operating units adhere to budgets which are
approved directly or indirectly by The Board of Visitors and included
in the University Oracle Systems. It is the responsibility of the UBO
to monitor award and project activity to identify expenditure or revenue
activity which is inconsistent with approved budgets.

Major responsibility for monitoring
and controlling operating budgets is delegated as follows:

Area

Delegated
To

Sponsored Programs

Director, Office of Sponsored Programs

Medical Center

CEO, Medical Center

University of Virginia's College at Wise

Chancellor, University of Virginia's College
at Wise

Authority rests with the UBO
to prohibit expenditures and reallocate revenues which are at variance
with approved budgets. The UBO will contact departmental and school officials,
as appropriate, to correct overbudget conditions.

2.6 Budgeting of Agency Accounts

By definition, agency accounts
are held by the University of Virginia in a custodial capacity. Accordingly,
The Board of Visitors does not have operational control over the revenues
and expenditures in agency accounts. It is the policy of the University
to exclude agency accounts from the annual operating budget.

Responsibility for the Financial
Review of Capital Outlay Requests and Related Submission.

It is the responsibility of
the Capital Budget Manager to review and approve the financial data pertaining
to all capital outlay forms prior to their submission to the central State
agencies and to confirm the source of all funding for capital projects
as part of the review/approval process.

Coordination of capital outlay
projects with the State Department of Planning and Budget is the responsibility
of the Capital Budget Manager.